TSE:6753

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Executive Summary

Sharp Corporation manufactures and sales telecommunication equipment, electric and electronic application equipment, and electronic components in Japan, the United States, Europe, China, and internationally.


Snowflake Analysis

Adequate balance sheet with limited growth.


Similar Companies

Share Price & News

How has Sharp's share price performed over time and what events caused price changes?


Latest Share Price and Events

Stable Share Price: 6753 has not had significant price volatility in the past 3 months.


Market Performance


7 Day Return

3.2%

6753

-0.3%

JP Consumer Durables

1.0%

JP Market


1 Year Return

-18.6%

6753

10.3%

JP Consumer Durables

-0.7%

JP Market

Return vs Industry: 6753 underperformed the JP Consumer Durables industry which returned 11.9% over the past year.

Return vs Market: 6753 underperformed the JP Market which returned 0.4% over the past year.


Shareholder returns

6753IndustryMarket
7 Day3.2%-0.3%1.0%
30 Day-10.6%-2.4%-3.9%
90 Day-1.5%10.5%9.8%
1 Year-17.3%-18.6%12.5%10.3%1.8%-0.7%
3 Year-69.9%-70.9%3.3%-2.4%5.2%-2.1%
5 Year-30.8%-33.1%26.8%15.4%10.2%-1.8%

Price Volatility Vs. Market

How volatile is Sharp's share price compared to the market and industry in the last 5 years?


Simply Wall St News

No news available

Valuation

Is Sharp undervalued compared to its fair value and its price relative to the market?

16.04x

Price to Earnings (PE) ratio


Share Price vs. Fair Value

Below Fair Value: 6753 (¥1150) is trading above our estimate of fair value (¥667.87)

Significantly Below Fair Value: 6753 is trading above our estimate of fair value.


Price To Earnings Ratio

PE vs Industry: 6753 is poor value based on its PE Ratio (16x) compared to the Consumer Durables industry average (12.1x).

PE vs Market: 6753 is poor value based on its PE Ratio (16x) compared to the JP market (15.1x).


Price to Earnings Growth Ratio

PEG Ratio: 6753 is poor value based on its PEG Ratio (1.1x)


Price to Book Ratio

PB vs Industry: 6753 is overvalued based on its PB Ratio (2.1x) compared to the JP Consumer Durables industry average (0.7x).


Next Steps

Future Growth

How is Sharp forecast to perform in the next 1 to 3 years based on estimates from 10 analysts?

15.3%

Forecasted annual earnings growth


Earnings and Revenue Growth Forecasts


Analyst Future Growth Forecasts

Earnings vs Savings Rate: 6753's forecast earnings growth (15.3% per year) is above the savings rate (0.05%).

Earnings vs Market: 6753's earnings (15.3% per year) are forecast to grow faster than the JP market (12.4% per year).

High Growth Earnings: 6753's earnings are forecast to grow, but not significantly.

Revenue vs Market: 6753's revenue (1.3% per year) is forecast to grow slower than the JP market (3.3% per year).

High Growth Revenue: 6753's revenue (1.3% per year) is forecast to grow slower than 20% per year.


Earnings per Share Growth Forecasts


Future Return on Equity

Future ROE: 6753's Return on Equity is forecast to be low in 3 years time (15.1%).


Next Steps

Past Performance

How has Sharp performed over the past 5 years?

66.7%

Historical annual earnings growth


Earnings and Revenue History

Quality Earnings: 6753 has a large one-off loss of ¥16.1B impacting its March 31 2020 financial results.

Growing Profit Margin: 6753's current net profit margins (1.7%) are lower than last year (3%).


Past Earnings Growth Analysis

Earnings Trend: 6753 has become profitable over the past 5 years, growing earnings by 66.7% per year.

Accelerating Growth: 6753's has had negative earnings growth over the past year, so it can't be compared to its 5-year average.

Earnings vs Industry: 6753 had negative earnings growth (-46.6%) over the past year, making it difficult to compare to the Consumer Durables industry average (-17.9%).


Return on Equity

High ROE: 6753's Return on Equity (12.9%) is considered low.


Next Steps

Financial Health

How is Sharp's financial position?


Financial Position Analysis

Short Term Liabilities: 6753's short term assets (¥1,088.6B) exceed its short term liabilities (¥861.0B).

Long Term Liabilities: 6753's short term assets (¥1,088.6B) exceed its long term liabilities (¥676.2B).


Debt to Equity History and Analysis

Debt Level: 6753's debt to equity ratio (263.1%) is considered high.

Reducing Debt: 6753's debt to equity ratio has reduced from 1983.4% to 263.1% over the past 5 years.

Debt Coverage: 6753's debt is not well covered by operating cash flow (12.1%).

Interest Coverage: 6753's interest payments on its debt are well covered by EBIT (11.2x coverage).


Balance Sheet


Next Steps

Dividend

What is Sharp current dividend yield, its reliability and sustainability?

1.74%

Current Dividend Yield


Dividend Yield vs Market

Notable Dividend: 6753's dividend (1.74%) is higher than the bottom 25% of dividend payers in the JP market (1.45%).

High Dividend: 6753's dividend (1.74%) is low compared to the top 25% of dividend payers in the JP market (3.45%).


Stability and Growth of Payments

Stable Dividend: 6753's dividend payments have been volatile in the past 10 years.

Growing Dividend: 6753's dividend payments have fallen over the past 10 years.


Current Payout to Shareholders

Dividend Coverage: With its reasonably low payout ratio (27.9%), 6753's dividend payments are well covered by earnings.


Future Payout to Shareholders

Future Dividend Coverage: Insufficient data to determine if a dividend will be paid in 3 years and that it will be covered by earnings.


Next Steps

Management

How experienced are the management team and are they aligned to shareholders interests?

3.0yrs

Average management tenure


CEO

Jeng-Wu Tai (67yo)

3.92yrs

Tenure

Mr. Jeng-Wu Tai has been the Chief Executive Officer of Sharp Corporation since August 16, 2016 and its Chairman since June 2018. He served as President of Sharp Corporation since August 16, 2016 until Jun ...


Leadership Team

NamePositionTenureCompensationOwnership
Jeng-Wu Tai
Chairman & CEO3.92yrsno datano data
Katsuaki Nomura
Presidentno datano data0.00016% ¥1.1m
Satoshi Sakakibara
Exec. Officerno datano datano data
Fujikazu Nakayama
Sr. Exe. Managing Officer10.5yrsno datano data
Mototaka Taneya
Executive Managing Officer1.5yrsno datano data
Masahiro Okitsu
Senior Executive Managing Officer and BU President of Smart Appliances & Solutions BU2.5yrsno datano data
Yoshihiro Hashimoto
Executive Managing Officer4.75yrsno datano data
Yoshio Kosaka
Executive Officerno datano datano data
Chien-Erh Wang
Executive Managing Officerno datano datano data
Michael Kelly
Senior Vice President of Sharp Manufacturing Company of America3yrsno datano data

3.0yrs

Average Tenure

Experienced Management: 6753's management team is considered experienced (3 years average tenure).


Board Members

NamePositionTenureCompensationOwnership
Jeng-Wu Tai
Chairman & CEO3.92yrsno datano data
Katsuaki Nomura
Presidentno datano data0.00016% ¥1.1m
Yasuo Himeiwa
Independent Outside Directorno datano datano data
Hsu-Tung Lu
Independent Outside Directorno datano datano data
Chung-Cheng Lin
Director1.5yrsno datano data
Wei-Ming Chen
Director1.5yrsno datano data
Yutaka Nakagawa
Outside Director & Member of Supervisory Committee0.083yrno datano data

1.5yrs

Average Tenure

Experienced Board: 6753's board of directors are not considered experienced ( 1.5 years average tenure), which suggests a new board.


Ownership

Who are the major shareholders and have insiders been buying or selling?


Insider Trading Volume

Insider Buying: Insufficient data to determine if insiders have bought more shares than they have sold in the past 3 months.


Ownership Breakdown

Dilution of Shares: Shareholders have not been meaningfully diluted in the past year.


Top Shareholders

Company Information

Sharp Corporation's company bio, employee growth, exchange listings and data sources


Key Information

  • Name: Sharp Corporation
  • Ticker: 6753
  • Exchange: TSE
  • Founded: 1912
  • Industry: Consumer Electronics
  • Sector: Consumer Durables
  • Market Cap: JP¥701.250b
  • Shares outstanding: 610.85m
  • Website: https://global.sharp

Number of Employees


Location

  • Sharp Corporation
  • 1 Takumi-cho
  • Sakai-ku
  • Sakai
  • Osaka
  • 590-8522
  • Japan

Listings

TickerExchangePrimary SecuritySecurity TypeCountryCurrencyListed on
SHCA.YOTCPK (Pink Sheets LLC)UNSPONSORED ADRUSUSDJan 1980
SRPBDB (Deutsche Boerse AG)UNSPONSORED ADRDEEURJan 1980
SHCA.FOTCPK (Pink Sheets LLC)YesCommon StockUSUSDJan 1992
6753TSE (The Tokyo Stock Exchange)YesCommon StockJPJPYJan 1992
SRPDB (Deutsche Boerse AG)YesCommon StockDEEURJan 1992

Biography

Sharp Corporation manufactures and sales telecommunication equipment, electric and electronic application equipment, and electronic components in Japan, the United States, Europe, China, and internationally. It operates through four segments: Smart Homes, Smart Business Solutions, Internet of Things (IoT) Electronics Devices, and Advance Display Systems. The Smart Homes segment offers mobile phones, electronic dictionaries, calculators, telephones, network control units, refrigerators, superheated steam ovens, microwave ovens, small cooking appliances, air conditioners, washing machines, vacuum cleaners, air purifiers, fans, dehumidifiers, humidifiers, electric heating equipment, plasma cluster ion generators, beauty equipment, solar cells, storage batteries, personal computers, etc. The Smart Business Solutions segment provides digital multi-function printers, information displays, POS systems, electronic cash registers, commercial projectors, options and consumables, and software. The IoT Electronics Devices segment offers camera modules, camera modules manufacturing facilities, sensor modules, proximity sensors, dust sensors, wafer foundry, CCD/CMOS sensors, semiconductor lasers, in-vehicle cameras, FA equipment, washing machines, etc. The Advance Display Systems segment provides LCD color televisions, Blu-ray Disc recorders, audio equipment, and display modules. The company was formerly known as Hayakawa Electric Industry Co., Ltd. and changed its name to Sharp Corporation in January 1970. Sharp Corporation was founded in 1912 and is headquartered in Sakai, Japan. 


Company Analysis and Financial Data Status

All financial data provided by Standard & Poor's Capital IQ.
DataLast Updated (UTC time)
Company Analysis2020/07/09 14:50
End of Day Share Price2020/07/08 00:00
Earnings2020/03/31
Annual Earnings2020/03/31


Unless specified all financial data is based on a yearly period but updated quarterly. This is known as Trailing Twelve Month (TTM) or Last Twelve Month (LTM) Data. Learn more here.